“The Pikes Peak region has experienced strong commercial construction activity throughout the third quarter of 2022 and looks to continue that momentum through the end of the year,” Colarelli says.
“While multifamily and industrial growth is strong in many communities, it is notable that the commercial office market finished the first six months of 2022 with 150,000 square feet of positive net absorption and continues to outpace performance in similar communities,” Colarelli adds. He further points out that commercial permit valuations are up 12% over last year, and commercial plan reviews are roughly 35% higher compared with 2021.
“With all the current activity, the challenges that contractors in this community face are those of abundance—shortage of labor, extended delivery times, material price escalation and the ongoing supply chain issues,” Colarelli says.
“While it is widely anticipated that activity will slow in 2023, contractors are evaluating project viability to assure themselves that their forecasts are reliable and that their resource commitments are reasonable,” he says.